Big changes at Spanish wine giant Arco

Harpers Magazine (1st October 2004) reports that Victor Redondo, president of Spanish wine giant Arco, is aiming to raise 150 million Euros to drive an international expansion of the group.

The capital, raised from investors and the funds of Arco's shareholders, will be placed into an 'international wine and wine tourism fun' that will become the fourth separate interest that Arco controls. Currently Arco has majority control of large-volume producer Berberano, Haciendas de Espana and the international distributor for the group, United Wineries, although the former two have separate management teams, staff and shareholders. 'The only link is me as president and United Wineries as the distributor. Arco itself is not reall a business now - it is a financial corporation, the majority shareholder', says Redondo.